BILL ANALYSIS �
SENATE COMMITTEE ON EDUCATION
Carol Liu, Chair
2013-2014 Regular Session
BILL NO: SB 329
AUTHOR: Gaines
AMENDED: April 3, 2013
FISCAL COMM: Yes HEARING DATE: April 24, 2013
URGENCY: No CONSULTANT:Daniel Alvarez
SUBJECT : Community colleges: nonresident tuition: Lake Tahoe
Community
College.
SUMMARY
This bill exempts persons residing in specified communities in
the State of Nevada from paying non-resident tuition fees if
they attend the Lake Tahoe Community College (LTCC). In
addition, this bill permits the LTCC to count these persons as
resident full-time equivalent students (FTES) for purposes of
determining California apportionment funding.
BACKGROUND
Current law authorizes a community college district (CCD) to
admit nonresident students and requires that these students be
charged a tuition fee that is twice the amount of the fee
established for in-state resident students, with certain
specified exemptions. State statute prescribes a formula for
the calculation of the nonresident fee. Beginning July 1, 2013,
state law requires the nonresident tuition fee be increased to a
level that is three times the amount of the fee established for
in-state resident students.
Current law prohibits nonresident students from being reported
as FTES for state apportionment purposes, except where (1) the
CCD has less than 1500 FTES and is within 10 miles of another
state and has a reciprocity agreement with that state, or (2) if
a CCD has between 1501 and 3000 FTES and is within 10 miles of
another state and has a reciprocity agreement with that state,
they can claim up to 100 FTES for state apportionment purposes.
(Education Code � 76140)
ANALYSIS
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This bill exempts persons residing in specified communities in
the State of Nevada from paying non-resident tuition fees if
they attend the Lake Tahoe Community College (LTCC). In
addition, this bill permits the LTCC to count these persons as
resident full-time equivalent students (FTES) for purposes of
determining California apportionment funding. More
specifically, this bill:
1) Exempts students who attend Lake Tahoe Community College
(LTCC) from being charged non-resident student tuition fees
if they reside in one of the following communities in
Nevada:
a) Incline Village.
b) Kingsbury.
c) Round Hill.
d) Skyland.
e) Stateline.
f) Zephyr Cove.
2) States a person shall have residence in one of the
communities listed above if they lived in that community
for more than one year immediately prior to seeking the fee
exemption.
3) Requires the LTCC to adopt rules and regulations for
determining a student's residence classification and for
establishing procedures for an appeal and review of
residence classification.
4) Permits LTCC to report the non-resident students, exempted
from paying the non-resident fees, as resident full-time
equivalent students (FTES) for state apportionment
purposes.
STAFF COMMENTS
1) According to the author , this college is in a unique
location where its proximity to Nevada necessitates access
to the college by students on both sides of the state line,
and there is an undue burden on Nevada students if forced
to pay non-resident tuition to attend a school that is only
a few short miles away. For example, Whitell High School
graduates and other Nevadans, most of whom live no more
than a five to ten minute drive from LTCC, must now pay six
times the rate of their California neighbors to access a
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higher education and workforce training.
2) Reciprocity, a mutual exchange of interests, no longer
exists with Nevada . According to the Legislative Analyst
Office, in August 2011, the State of Nevada terminated the
"Good Neighbor" tuition agreement that allowed California
students from designated counties to attend Nevada colleges
at significantly reduced nonresident tuition rates. Under
this agreement, Nevada students were also able to enroll in
the California Community Colleges (specifically, Lassen,
Feather River, Lake Tahoe, Palo Verde, Siskiyou and
Barstow) without having to pay full nonresident tuition.
Effective, November 2011, California students enrolling for
the first time in Nevada colleges will be charged the full
nonresident tuition and all the California Community
Colleges will be required to charge nonresident tuition for
Nevada residents enrolling for the first time in
California, effectively ending the ability of the
California Community Colleges (CCC) to provide exemptions
for Nevada students. From 1992 through 2011, California and
Nevada had a "Good Neighbor" agreement (reciprocity) in
place.
Reciprocity agreements, allow the flow of tangible economic
and educational benefits to citizens of both states. The
absence of a "good neighbor" or reciprocity agreement
shifts the total burden of paying for these benefits to
California residents.
3) Fee changes to take effect July 1, 2013 . According to the
Senate Budget Committee, as part of the 2012 Budget Act,
the State changed the level of nonresident fees to $138 per
unit (three times the amount of California resident student
fee of $46 per unit). By establishing neighboring state
student fees at a multiple of the current California
resident student fee, the new fee would allow neighboring
student fees to adjust in concert with any future
adjustments to resident student fees. The Budget Committee
indicates this fee level would be approximately midway
between Oregon, Nevada, and Arizona resident student fees,
that range in the mid-$70 per unit, and California
nonresident student fees, that range around $200 per unit.
4) This bill allows nonresidents to be counted for state
funding purposes without limit . Under limited conditions,
the state allows for nonresidents to be counted for state
funding purposes. However, this measure will allow an
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unlimited number of nonresident students to be counted for
state funding. Our recent austere budget times require
that uses for any available California General Fund
resources should be closely scrutinized.
As of March 2013, the State Chancellor's office reports
that statewide there are 11,300 unfunded full-time
equivalent students (FTES), students that attend a
California Community College (CCC), but where the state
does not provide funding. The Lake Tahoe Community College
reports zero unfunded FTES. Generally, CCCs in declining
enrollment enjoy a one-year funding grace period from the
decline, after that, the unused FTES is redistributed
within the community college system.
5) Data on FTES at Lake Tahoe Community College . According to
the Legislative Analyst Office, in 2011-12 the LTCC served
a total of 1,937 FTES. Of this amount, 11 percent, or 225
FTES, were for physical fitness and recreation courses,
followed by general mathematics (151 FTES) and English (140
FTES).
SUPPORT
Board of Commissioners, Douglas County, Nevada
Community College League of California
Montblue Resort Casino and Spa
Lake Tahoe Visitors Authority
Concerned citizen
OPPOSITION
None on file.